Algoma Steel Group Ord Shs T.ASTL

Current Quarter Guidance

[Stocker46]

Bit of shocker to say the least.
Had just been considering buying more .. now I may sell what I've got.

Had to wonder why the share price was falling recently after net earnings of $300 M plus in the previous quarter and a buyback of 40 million shares at the end of July. (when ASTL already appeared to be undervalued) ... somebody knew something!

After Net Earnings of $301 M in the previous Q, they are likely looking at $30 to $40 M in the current Q.
 .. an EPS of $1.49 down to 30 or 40 cents.
4th Q will be crucial, but is usually the weekest quarter due to customer shutdowns in the last week or two of December.

There last quarter News Release (unless I missed it) made no mention of falling prices. In fact they highlighted the fact that average revenues went from $1,185 (in the previous Q) to $1,632. Also no mention of a "delay" in the Plate Mill upgrade.
Perhaps something was mentioned on their Conference Call .. which I missed ?  

[Midsts]

It was a shock indeed but there were signs for this. They had mentioned on their Conference Call about problems with the upgrade of the Plate Mill and the did also mention that they are expecting reduced production on this quarter. Consider also a fire, an oil spill, an imminent strike and negotiations with the union, a couple of work accidents, lower steel prices, a recession -there were quite a

[Stocker46]

I also, thought the negatives were already baked into the SP ... but when your net earnings drop by 80-90 %, it's a whole different ball game. As for analyst targets, they are almost always significantly higher than the current SP. It's like they simply adjust them up or down depending on which way the wind blows. Sold my shares yesterday at an average of $9.21 Cdn. & it's

[Stocker46]

Algoma's had a couple of very good days .. even when the rest of the market is down. I suspect, however, it will take another major hit when official numbers come out for the quarter .. & investors realize just how bad it was. Will be interesting to see Stelco's financials. They didn't experience the same problems that Algoma used as an excuse for their dismal performance. Let